The lawsuit between U.S. Securities and Exchange Commission (SEC) and Ripple has come a long way. Back in 2020, SEC sued Ripple alleging that the XRP token is a security and a currency. Many events and evidence related to the case came into the spotlight till now. However, the majority of the documents represent the biases and lack of clarity in the approach of the commission.
Major events discovered in the case
February 2022 can be marked as the most action-packed month till now in the case. The month saw revelations of the mystery hidden behind the two legal memos to considering Estabrook Notes to be shown on camera. The latest discoveries have completely shaped the case in Ripples’ favor while SEC is still trying to apply delay tactics.
From Ripple and XRP’s perspective, the revelation of the legal consulting memos received from Perkins Coie LLP attorney back in 2012 has played in their favor. While, the first memo said ‘Sale may subject to being regulated as securities or commodities by the commission’, the second memo assured that XRP may not be considered as a security under federal law.
However, disclosure of the Estabrook Notes will play a vital role in this case. These notes are the minutes from the meeting between Mr. Garlinghouse and then SEC’s Commissioner Roisman. Interestingly this meeting happened in November,2018 after which SEC sued Ripple in 2020.
What after Discovery period?
The notes carry very crucial information regarding the nature of XRP tokens. Ripple’s CEO believes that these notes will surely help them in the case. Notes will approve that he had a discussion with the Commissioner regarding the regulation of digital assets.
It seems like the crucial discovery period in the lawsuit is coming to an end. This is a positive signal for cryptocurrency enthusiasts. This season has been fruitful for Ripple as it has presented both old and new documents related to the nature of the token. As fast as this will end the next ‘Conclusion period’ will start where the court will decide the fate of the XRP token.